Hedge funds choosing to become family offices, thereby closing themselves off to outside investors, has been strong this week.
Hedge funds choosing to become family offices, thereby closing themselves off to outside investors, has been strong this week. George Soros has decided to bring down the curtain on his illustrious career as one of the world’s pre-eminent investors to concentrate on managing his private multi-billion dollar fortune. And over in Singapore, LionRock Capital Pte, founded in 2009, has taken a similar course of action. “I can confirm that LionRock will no longer be accepting external investors and will instead only manage the capital provided by the partners,” Hari Kumar, founder of LionRock, told Bloomberg News via email. He said the firm’s assets, which are thought to be USD100million, would be managed in a long-term fundamental investing style “reflective of a family office or endowment model”. Sources familiar with the matter said that the LionRock Master Fund had declined since its inception in June 2009 and was down 9 per cent through May this year but Kumar offered no comment on performance. Kumar said that creating a concentrated portfolio with a long-term investing horizon was the best way to compound their capital, but this wouldn’t be in line with what the majority of potential investors would expect. Hence the decision to become a family office.
